LPG Price Hike: Cooking Gas Gets Costlier As Cylinder Rates Rise By Rs 29

New Delhi: Crores of families across the country have once again been hit by inflation. The government has increased the price of domestic LPG cylinder by Rs 29. The new rates have come into effect with immediate effect, due to which the monthly expenses of households are going to increase further.

Now how much will domestic LPG cylinder cost?

After the latest increase, a 14.2 kg domestic LPG cylinder will be available for Rs 942 in the capital Delhi. Earlier its price was Rs 913. New rates have been implemented in other cities also as per local taxes.

Is this the second increase in recent months?

This is the second increase in domestic gas prices within the last three months. Earlier in March, cylinder prices were increased by Rs 60. The continuously increasing prices have increased the concern of common consumers.

Why are gas prices increasing?

Experts say that due to the ongoing tension in West Asia and turmoil in the energy market across the world, LPG is becoming expensive. International rates have increased outside, hence the prices of domestic gas cylinders are going up in India too.

What has been the impact of US-Iran tension?

Energy market experts say that the increasing tension between America and Iran and the looming threat to maritime supply routes have kept fuel prices high in the global market. This is directly impacting import-dependent countries like India.

Why were the oil companies at loss?

According to sources, despite the price increase in March, government oil marketing companies were incurring huge losses on the sale of domestic LPG. It is being told that before the recent amendment, there was a loss of about Rs 703 on each domestic cylinder.

Have the prices of other fuels also increased?

After LPG, now the prices of petrol, diesel and CNG have also increased. Petrol and diesel have become costlier by about Rs 7.50 per litre since mid-May. On the other hand, the price of CNG has also increased by about Rs 6 per kg. This is directly affecting the daily expenses.

How much pressure is there on the oil companies regarding petrol diesel?

Market sources say that in the current situation the selling pressure on companies has increased. Margins are deteriorating due to crude oil prices and rupee movement. According to estimates, companies are facing losses of around Rs 11 per litre on petrol and Rs 33.6 per litre on diesel. For this reason, a gradual increase in retail prices is being seen.

What will be the impact on common consumers?

The rising prices of LPG and other fuels will have a direct impact on the household budget. Especially middle class and low income group families may have to bear additional burdens in monthly expenses. If price pressure continues in the international market, there seems to be little hope of further relief.